Revenue is dominated by non-interest income, which constituted 121.1% of total revenue in 2026Q2, but the core business is unprofitable on a net interest basis with a negative NIM of -1.2%.
PRA Group, Inc. (PRAA) annual income statement — 24-year revenue, gross profit & net income history
| Metric | TTM | Dec'25 | Dec'24 | Dec'23 | Dec'22 | Dec'21 | Dec'20 | Dec'19 | Dec'18 | Dec'17 | Dec'16 | Dec'15 | Dec'14 | Dec'13 | Dec'12 | Dec'11 | Dec'10 | Dec'09 | Dec'08 | Dec'07 | Dec'06 | Dec'05 | Dec'04 | Dec'03 | Dec'02 |
|---|
| Net Interest Income | 96.29M | 937.93M | -99.3M | -83.98M | -49.47M | -37.88M | -34.48M | -144.16M | -121.08M | -18.84M | -71.53M | -57.47M | -35.22M | -14.46M | -9.03M | -10.56M | -8.99M | -7.91M | -11.09M | -3.29M | 205.55K | 330.99K | -50.64K | -541.9K | -2.43M |
| NII Growth % | 803.63% | 1044.56% | -18.24% | -69.76% | -30.62% | -9.85% | 76.08% | -19.07% | -542.63% | 73.66% | -24.46% | -63.17% | -143.53% | -60.15% | 14.5% | -17.53% | -13.67% | 28.72% | -237.63% | -1698.18% | -37.9% | 753.65% | 90.66% | 77.65% | - |
| Net Interest Margin % | 1.84% | 18.38% | -2.01% | -1.86% | -1.18% | -0.87% | -0.77% | -3.26% | -3.1% | -0.51% | -2.26% | -1.92% | -1.27% | -0.9% | -0.7% | -0.99% | -0.9% | -1% | -1.69% | -0.69% | 0.07% | 0.13% | -0.03% | -0.43% | -2.75% |
| Interest Income | 319.63M | 1.19B | -10.57M | -9.22M | 2.23M | 1.09M | 1.01M | 0 | 3.13M | 5.61M | 5.05M | 2.08M | 4K | 3K | 10K | 7K | 65K | 3K | 60K | 419K | 584.09K | 611.49K | 222.72K | 60.17K | 21.55K |
| Interest Expense | 223.34M | 251.79M | 88.73M | 74.76M | 51.7M | 38.96M | 35.5M | 144.16M | 124.21M | 24.45M | 76.57M | 59.55M | 35.23M | 14.47M | 9.04M | 10.57M | 9.05M | 7.91M | 11.15M | 3.7M | 378.55K | 280.5K | 273.36K | 602.07K | 2.45M |
| Loan Loss Provision | -322.65M | -241.35M | 349.44M | 324.7M | 364.51M | 387.16M | 401.37M | 166.28M | 195.19M | 320.24M | 182.27M | 208.8M | 199.31M | 178.01M | 159.31M | 127.63M | 115.03M | -7.91M | -11.15M | -3.7M | 0 | 0 | 0 | 0 | 0 |
| Non-Interest Income | 1.04B | 50.52M | 1.13B | 824.72M | 964.3M | 1.09B | 1.06B | 995.3M | 874.83M | 816.31M | 827.08M | 939.94M | 880.97M | 735.13M | 592.79M | 458.93M | 372.64M | 281.09M | 263.21M | 220.33M | 188.32M | 148.53M | 7.14M | 84.93M | 55.85M |
| Non-Interest Income % | 91.56% | 5.11% | 109.59% | 111.34% | 105.41% | 103.58% | 103.35% | 116.94% | 116.06% | 102.36% | 109.47% | 106.51% | 104.16% | 102.01% | 101.55% | 102.36% | 102.47% | 102.89% | 104.4% | 101.51% | 99.89% | 99.78% | 100.71% | 100.64% | 104.54% |
| Total Net Revenue | 1.14B | 988.45M | 1.04B | 740.74M | 914.82M | 1.06B | 1.03B | 851.14M | 753.75M | 797.47M | 755.55M | 882.47M | 845.74M | 720.67M | 583.76M | 448.37M | 363.65M | 273.18M | 252.12M | 217.04M | 188.53M | 148.86M | 7.09M | 84.39M | 53.42M |
| Revenue Growth % | 9.22% | -4.51% | 39.74% | -19.03% | -13.43% | 2.61% | 21% | 12.92% | -5.48% | 5.55% | -14.38% | 4.34% | 17.36% | 23.45% | 30.2% | 23.29% | 33.12% | 8.35% | 16.16% | 15.13% | 26.65% | 1999.18% | -91.6% | 57.96% | - |
| Non-Interest Expense | 936.87M | 809.06M | 345.92M | 315.54M | 264.51M | 294.61M | 278.85M | 437.18M | 373.3M | 263.5M | 353.53M | 363.33M | 304.37M | 245.13M | 208.39M | 142.71M | 118.77M | 200.48M | 178.44M | 139.56M | 116.53M | 89.26M | -37.8M | 49.93M | 32.46M |
| Efficiency Ratio | 82.15% | 81.85% | 33.42% | 42.6% | 28.91% | 27.88% | 27.08% | 51.36% | 49.53% | 33.04% | 46.79% | 41.17% | 35.99% | 34.01% | 35.7% | 31.83% | 32.66% | 73.39% | 70.77% | 64.3% | 61.81% | 59.96% | -533.04% | 59.17% | 60.76% |
| Operating Income | 526.28M | 420.74M | 339.73M | 100.49M | 285.8M | 375M | 349.7M | 247.69M | 185.26M | 213.73M | 219.75M | 310.34M | 342.07M | 297.53M | 216.06M | 178.03M | 129.86M | 80.61M | 84.84M | 81.18M | 72M | 59.6M | 44.89M | 34.45M | 20.96M |
| Operating Margin % | 46.15% | 42.57% | 32.82% | 13.57% | 31.24% | 35.49% | 33.95% | 29.1% | 24.58% | 26.8% | 29.08% | 35.17% | 40.45% | 41.28% | 37.01% | 39.71% | 35.71% | 29.51% | 33.65% | 37.4% | 38.19% | 40.04% | 633.04% | 40.83% | 39.24% |
| Operating Income Growth % | - | 23.84% | 238.07% | -64.84% | -23.79% | 7.23% | 41.19% | 33.7% | -13.32% | -2.74% | -29.19% | -9.27% | 14.97% | 37.71% | 21.36% | 37.09% | 61.1% | -4.98% | 4.5% | 12.76% | 20.8% | 32.77% | 30.29% | 64.36% | - |
| Pretax Income | -188.88M | -243.24M | 109.61M | -82.89M | 154.78M | 250.33M | 208.94M | 117.36M | 89.5M | 160.27M | 135.63M | 257.52M | 301.01M | 283.06M | 207.03M | 167.46M | 120.88M | 72.7M | 73.75M | 77.9M | 72.21M | 59.93M | 44.84M | 33.91M | 18.54M |
| Pretax Margin % | -16.56% | -24.61% | 10.59% | -11.19% | 16.92% | 23.69% | 20.29% | 13.79% | 11.87% | 20.1% | 17.95% | 29.18% | 35.59% | 39.28% | 35.47% | 37.35% | 33.24% | 26.61% | 29.25% | 35.89% | 38.3% | 40.26% | 632.33% | 40.19% | 34.7% |
| Income Tax | 65.16M | 46.73M | 21.03M | -16.13M | 36.79M | 54.82M | 41.2M | 19.68M | 13.76M | -10.85M | 43.58M | 89.39M | 124.51M | 106.15M | 80.93M | 66.32M | 47M | 28.4M | 28.38M | 29.66M | 27.72M | 23.16M | 17.39M | 13.2M | 1.47M |
| Effective Tax Rate % | -34.5% | -19.21% | 19.19% | 19.46% | 23.77% | 21.9% | 19.72% | 16.77% | 15.38% | -6.77% | 32.13% | 34.71% | 41.36% | 37.5% | 39.09% | 39.6% | 38.89% | 39.06% | 38.49% | 38.07% | 38.38% | 38.64% | 38.78% | 38.92% | 7.95% |
| Net Income | -265.05M | -305.14M | 70.6M | -83.48M | 117.15M | 183.16M | 149.34M | 86.16M | 65.56M | 164.31M | 86.25M | 167.93M | 176.5M | 175.31M | 126.59M | 100.79M | 73.45M | 44.31M | 45.36M | 48.24M | 44.49M | 36.77M | 27.45M | 20.71M | 17.07M |
| Net Margin % | -23.24% | -30.87% | 6.82% | -11.27% | 12.81% | 17.33% | 14.5% | 10.12% | 8.7% | 20.6% | 11.42% | 19.03% | 20.87% | 24.33% | 21.69% | 22.48% | 20.2% | 16.22% | 17.99% | 22.23% | 23.6% | 24.7% | 387.12% | 24.55% | 31.94% |
| Net Income Growth % | -389.22% | -532.21% | 184.58% | -171.26% | -36.04% | 22.65% | 73.33% | 31.41% | -60.1% | 90.5% | -48.64% | -4.86% | 0.68% | 38.49% | 25.6% | 37.22% | 65.79% | -2.33% | -5.97% | 8.43% | 20.99% | 33.95% | 32.53% | 21.38% | - |
| Net Income (Continuing) | -254.04M | -289.97M | 88.57M | -66.75M | 118M | 195.51M | 167.74M | 97.68M | 75.73M | 171.13M | 92.05M | 168.13M | 176.5M | 176.92M | 126.1M | 101.14M | 73.87M | 44.31M | 45.36M | 48.24M | 44.49M | 36.77M | 27.45M | 20.71M | 17.07M |
| EPS (Diluted) | -6.92 | -7.79 | 1.79 | -2.13 | 2.94 | 4.04 | 3.26 | 1.89 | 1.44 | 3.54 | 1.83 | 3.47 | 3.50 | 3.45 | 2.46 | 1.95 | 1.45 | 0.96 | 0.99 | 1.02 | 0.92 | 0.76 | 0.58 | 0.44 | 0.31 |
| EPS Growth % | -388.57% | -535.2% | 184.04% | -172.45% | -27.23% | 23.93% | 72.49% | 31.25% | -59.32% | 93.44% | -47.26% | -0.86% | 1.45% | 40.24% | 26.15% | 34.48% | 51.04% | -3.03% | -2.94% | 10.87% | 21.05% | 31.03% | 31.82% | 41.94% | - |
| EPS (Basic) | - | -7.79 | 1.79 | -2.13 | 2.96 | 4.07 | 3.28 | 1.90 | 1.45 | 3.55 | 1.84 | 3.49 | 3.53 | 3.48 | 2.48 | 1.96 | 1.46 | 0.96 | 0.99 | 1.03 | 0.93 | 0.78 | 0.60 | 0.47 | 0.36 |
| Diluted Shares Outstanding | 38.3M | 39.17M | 39.54M | 39.18M | 39.89M | 45.33M | 45.86M | 45.58M | 45.41M | 45.82M | 46.39M | 48.41M | 50.42M | 50.87M | 51.37M | 51.69M | 50.66M | 46.36M | 45.88M | 47.34M | 48.25M | 48.45M | 47.56M | 47.14M | 36.2M |
Quick answers to the most common questions about buying PRAA stock.
For fiscal year 2025, PRA Group, Inc. (PRAA) reported total revenue of $988.5M. This represents a 1750.3% increase compared to $53.4M in 2002.
PRA Group, Inc. (PRAA) reported a net loss of $305.1M for the fiscal year ending 2025.
PRA Group, Inc. (PRAA) reported an operating income of $420.7M, resulting in an operating profit margin of 42.6%. This margin reflects the operational efficiency of the business before interest and taxes.
PRA Group, Inc. (PRAA) generated $1.23B in gross profit for the year, representing a gross profit margin of 124.4%. This demonstrates the company's core pricing power and production efficiency.
Key Metrics
Top Statement Risk
Persistent negative net interest income
Metrics are mathematically derived from official filings.
Negative NII Signals Funding Cost Pressure
PRAA's net interest income has been persistently negative for nine of the last ten quarters, with the most recent quarter showing a loss of $64.4 million, indicating that interest expense on its funding debt consistently exceeds the yield generated on its portfolio assets.
The sustained negative NII suggests the company's cost of capital is structurally higher than the return on its core debt portfolios, a dynamic that appears to be exacerbated by the high-rate environment. This pattern implies that the business model is currently reliant on non-interest income and portfolio gains to cover its funding costs, which introduces significant earnings volatility.
NIM Deeply Negative, Peer Comparison Unfavorable
The net interest margin has been negative for the entire period, reaching -1.2% in 2026Q2, which stands in stark contrast to the positive NIM typically seen at traditional banks and suggests a fundamental mismatch between asset yields and funding costs.
A negative NIM for a debt buyer indicates that the interest paid on its corporate debt to fund portfolio acquisitions is greater than the interest or finance charges collected from the underlying consumer receivables. This structural headwind compresses the core earnings engine and forces the company to rely on successful collections and portfolio management for profitability.
Volatile Provisions Distort Underlying Earnings
Provision expense has been highly erratic, swinging from a $392.5 million benefit in 2025Q4 to an $89.5 million expense in 2025Q3, indicating that portfolio revaluations and impairments are the primary driver of net income volatility.
The large negative provision in 2025Q4, which acted as a revenue boost, likely reflects a favorable revaluation of existing portfolios or a release of previously established reserves. Conversely, the significant positive provisions in other quarters suggest ongoing impairments on older vintages, highlighting the difficulty in accurately forecasting long-term collection curves and the resulting impact on reported earnings.
Fee Income Dominates Revenue Mix
Non-interest income, primarily from debt collection fees and portfolio gains, constituted over 120% of total revenue in several quarters, underscoring that the core business generates cash collections that are not classified as traditional interest income.
The outsized contribution of non-interest income is characteristic of the debt purchasing model, where revenue is recognized as cash is collected on previously purchased portfolios. This structure means that top-line growth is directly tied to the execution of collection strategies and the volume of cash recovered, rather than loan origination or spread-based lending.
2025Q4 Marked a Major Portfolio Revaluation
The fourth quarter of 2025 appears to be a critical inflection point, where a massive $392.5 million provision benefit drove operating income to $576.6 million, temporarily masking the underlying negative NII trend.
This event suggests a significant positive adjustment to the estimated remaining collections of the company's portfolio, possibly due to improved collection performance or a change in valuation assumptions. While it provided a substantial earnings boost, investors should monitor whether this represents a sustainable improvement in portfolio quality or a one-time accounting adjustment.
Earnings Quality Challenged by Accounting Artifacts
The company's reported profitability is heavily influenced by non-cash portfolio revaluations, as evidenced by the swing from a $10.43 loss per share in 2025Q3 to a $1.46 profit in 2025Q4, which may not reflect the true cash-generating ability of the business.
The extreme volatility in EPS, driven by large provision swings, makes it difficult to assess the sustainable earnings power of the core collection operations. The persistent negative NIM and reliance on non-interest income suggest that the underlying business may be less profitable than headline net income figures imply during quarters with favorable revaluations.